Place your bets

  • Posted by
  • on January 6th, 2012

We’ve posted these charts on the stream in the last 2 days but wanted to bring them in together to show what is at stake:

 

We’ve spent all week digesting, but not filling, Tuesday’s gap on the $SPY.  This is bullish digestion above the 200sma on daily.

$XME is boxed in by major moving averages– it bounced on the 20sma yesterday but is having trouble with the 50/100 from above.  Make or break time coming up next week.

$SLV repelled by the 20sma today — note trending slope down.    Very clear line in sand.

$GLD repelled by the 200sma — we had this as a short resistance spot all week but alas  took it off radar yesterday.  Again, clear line in sand.

Nice tight bars under 200sma on the $XLE and has refused to fill the gap — again, roll down or break-out coming soon.

As we wrote yesterday divergence between Euro ($6E_F) and market is deepening — one of them will give in soon and there will be some reversion to mean.   Place your bets on which horse will fall first.

The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.

You might be interested in:
blog comments powered by Disqus